European, Arab and African markets opened with mixed sentiment on Monday, with investors weighing political uncertainty, energy prices and local economic challenges. London’s trading session was overshadowed by a major transport strike, while South Africa saw modest optimism on the back of stronger reserves data.
European markets cautious amid politics and central bank watch
Across Europe, equity indices opened on uneven ground. Italy’s FTSE MIB gained around 0.55%, supported by industrial and banking shares, while France’s political climate dampened bond markets after a confidence vote rattled investors. Traders across the eurozone are watching closely for upcoming European Central Bank signals on the future of rate policy, with sentiment remaining cautious.
London market opens under shadow of tube strike
The London Stock Exchange began trading at 08:00 BST, but investor attention was partly diverted by severe disruptions to the city’s underground network. Despite the logistical challenges, markets tracked global oil price movements and broader European trends. Shares opened steady, but political and trade uncertainties kept volumes subdued.
Arab markets awaiting catalysts
Trading in the Middle East’s major exchanges, including Saudi Arabia’s Tadawul and the Abu Dhabi Securities Exchange, lacked fresh momentum at the start of the week. While broader Gulf markets opened without significant volatility, investors remain focused on energy prices and geopolitical developments that continue to drive sentiment in the region.
African markets show tentative gains
In Johannesburg, the JSE opened with modest gains, reflecting improved confidence in South Africa’s economic outlook following stronger reserve data. Hopes for a more dovish US Federal Reserve stance also lent support. However, the outlook remains clouded by persistent power supply issues from Eskom, keeping investors cautious.
Outlook remains mixed across regions
With Europe balancing central bank signals, London adjusting to labour unrest, Arab markets awaiting energy cues, and Africa testing resilience against structural pressures, global investors are treading carefully. The coming days will likely be shaped by oil price dynamics and monetary policy guidance from leading central banks.
REFH – Newshub, 8 September 2025
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